Colonial BancGroup to Merge with Farmers and Merchants Bank of Ariton, Alabama
Colonial BancGroup Chairman Robert E. Lowder and Farmers and Merchants Bank of Ariton, Alabama Chairman D.K. Wilson announced a merger between the two institutions. The deal, pending shareholder and regulatory approval, will see Colonial BancGroup acquire Farmers and Merchants for $10 million in cash and common stock. This move aims to expand Colonial's presence in Dale County, building on their recent acquisition of Brundidge Banking Co. in nearby Pike County.
Key Takeaways:
- The proposed merger involves Colonial BancGroup acquiring Farmers and Merchants Bank of Ariton, Alabama for $10 million in cash and common stock.
- The deal is subject to shareholder and regulatory approval, as well as the negotiation of a definitive agreement.
- The merger aims to strengthen Colonial BancGroup's presence in Dale County, following their recent acquisition of Brundidge Banking Co. in Pike County.
- Colonial BancGroup is a multi-bank holding company headquartered in Montgomery, with assets of $2.9 billion and 98 full-service offices in Alabama and southern Tennessee.
- The merger will potentially benefit Farmers and Merchants' customers, employees, and shareholders, as Colonial BancGroup has a similar community bank philosophy.
- The deal involves a letter of intent between Colonial BancGroup and Farmers and Merchants Bank, outlining the terms of the acquisition.
Statistics:
- Total assets of Farmers and Merchants Bank of Ariton, Alabama: $51 million
- Number of full-service locations for Farmers and Merchants Bank of Ariton, Alabama: 3
- Total assets of Colonial BancGroup: $2.9 billion
- Number of full-service offices for Colonial BancGroup: 98
- Proposed acquisition price: $10 million in cash and common stock
Sources:
- BUSINESS WIRE - April 4, 1995
- CONTACT: Colonial BancGroup (Alan T. Romanchuck, 334/240-5019, W. Flake Oakley, 334/240-6035)
- CONTACT: Farmers and Merchants Bank (Christopher K. Wilson, 334/774-0445)